Why do International Schools raise their school fees above the inflation rate and how does KBH remain affordable?
Why do many traditional international schools raise their fees above inflation? Traditional international schools often increase fees well beyond local inflation rates due to several factors: High Fixed Costs: Expensive campuses, lavish facilities, and expatriate salary packages drive up operational expenses. Status Signaling: Some schools use high fees as a proxy for quality, positioning themselves as “premium” brands. Lack of Financial Efficiency: Legacy systems, bureaucratic overheads, and poor resource allocation inflate costs. Market Demand: In regions with high demand, schools raise fees simply because supply doesn’t meet demand. What impact do these fee increases have on families? While infrastructure and staffing improvements may add value, aggressive fee hikes have placed international education far out of reach for many families. This has created an elite model accessible only to a privileged few, limiting e...